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Wage and Hour Lawsuits In the Hospitality Industry on the Rise

Recently, the number of lawsuits alleging violations of the Fair Labor Standards Act (FLSA) has been on the rise, particularly in the hospitality industry. In fact, earlier this month a Wall Street Journal article focusing on the increase in lawsuits against high-end Manhattan restaurants pointed out that nationwide similar such lawsuits have doubled in the last 10 years. Much of the increase has been due to a greater familiarity and understanding of wage and hour laws by workers, and a populace that is increasingly empowered- and rightfully so – to assert their rights.

What are your rights under the FLSA? If you have specific questions about the FLSA, and wonder if you have been receiving all of the benefits entitled to you, its best to consult with an experienced Atlanta personal injury lawyer who can answer your particular questions. However, a few rules apply to most workers. First, all workers are guaranteed to be paid at least minimum wage. Additionally, those non-exempt workers who work more than 40 hours in any work week are entitled to be paid at a rate of one and one-half times their standard rate of pay. Further, very specific regulations apply to those workers who are tipped employees – and how tips are collected and distributed. In fact a 2014 study by the U.S. Department of Labor found that wage violations – concentrated mostly in the hospitality industry – result in between $10 million and $20 million of lost worker income a week in New York State.

Hopefully, the rising number of lawsuits will end the number of violations and lead to greater protections for workers.

For more information or if you have any wage and hour questions, please contact the dedicated Georgia wage and hour lawyers at Buckley Beal, LLP for an immediate consultation.

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